FX.co ★ Daily analysis of major pairs for November 27, 2015

EUR/USD: Based on the price action in the market, it is not currently rational to seek long trades here – though the market looks oversold. The support line at 1.0550 will become a next target for bears if the price moves further southwards. The price has not moved seriously this week, but a breakout is imminent.

USD/CHF: After testing the resistance level of 1.0200, this pair succeeded in holding above it. A bullish bias is intact and it would hold as long as the price is above the support level of 1.0150. Only a very strong selling pressure can take the price below the support level (something that currently does not exist in the market).

GBP/USD: Based on what has happened so far this week, the outlook for the GBP/USD pair is strongly bearish. There is a Bearish Confirmation Pattern in the chart; and since the EMA 11 is below the EMA 56 (while the RSI period 14 is below the level of 50), it looks rational to expect further southward journey in the market.

USD/JPY: The USD/JPY pair only moved sideways on Thursday owing to weak trading activity. The price is now consolidating, and in case this continues for the next few trading days, the bias on the market would turn neutral.

EUR/JPY: This currency trading instrument has moved downwards by 80 pips so far this week, resting in the demand zone of 130.00. There is a strong probability that the demand zone would be breached to the downside as the price goes towards another demand zone of 129.50. This currency trading instrument would be weak as long as the euro is weak.